Published: 18 April 2023
Many IT sourcing, procurement and vendor management leaders consider only the size of the software audit settlement when determining how successful a software audit was. However, capturing the many other impacts accurately will support the case for license compliance and audit management controls.
Understanding vendor audit rights in a software contract and the penalties of noncompliance is a gap that many organizations have in their IT governance and contract management functions. This results in a reactive response to a noncompliance finding and failing to have a software audit process in place that can lead to a favorable settlement.
Audit proceedings and their consequences tend to interfere with an organization’s IT roadmap execution; time to complete the audit and the payment to the vendor impact the daily operations of many organizations.
Lack of checkpoints in IT and procurement processes where noncompliance risk may arise
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